Silver broke through resistance at $31/ounce, indicating an advance to $35*; a bullish sign for gold. Retracement that respects the new support level would confirm the signal. Penetration of the descending trendline on Twiggs Momentum (21-day) suggests continuation of the up-trend.

The Dollar Index encountered resistance at 79, suggesting that the correction will continue. Failure of medium-term support at 77 would confirm. Twiggs Momentum (21-day) completion of a peak below zero would warn of continuation of the primary down-trend. Breach of support at 76 would confirm, offering a target of 71*. Respect of 76 is less likely, but would indicate that a bottom is forming.

Gold recovered is rallying strongly after establishing primary support at $1320. Twiggs Momentum (21-day) penetration of the descending trendline would suggest another advance. Breakout above $1420 would confirm, offering a target of $1520*.

The euro is testing the band of support between $1.34 and $1.35. Recovery above the descending trendline would indicate respect. Breakout above $1.3850 would signal another test of $1.42*. Twiggs Momentum holding above zero is a positive sign.

The pound is headed for another test of resistance at $1.62. Rising Twiggs Money Flow continues to signal buying pressure. Breakout above $1.62 would test the 2009 high of $1.70*. Failure of primary support at $1.53 is now unlikely.

The yen rally stopped short of its 1995 high at $0.0123 against the dollar (¥81/dollar), indicating weakness. Twiggs Money Flow below zero warns of selling pressure. Breach of support at $0.0117 would signal a primary down-trend.